Hannover have failed to agree a new contract with former Manchester United striker Mame Biram Diouf, according to general manager Jorg Schmadtke.
The 25-year-old, who is currently contracted at the Bundesliga club until June 2014, has been linked with a move away this summer, with Borussia Dortmund thought to be keen.
Diouf, who departed Old Trafford for Germany in last year's winter transfer window, has scored 13 goals in 25 appearances for Hannover this season.
The Senegal international was optimistic over a deal when speaking about the prospect on Thursday.
He said: "I am happy here, I am settled and I've scored 10 goals in the league.
"Here it is a very good club and I feel part of the family. I want to stay here until my contract finishes in 2014 but I want to renew as well and the club is also keen."
However, Schmadtke says the two parties have failed to reach an agreement, with reports in Germany suggesting the players' agent, Jim Solbakken, has demanded a buy-out clause with a fixed fee be inserted into any new deal.
Asked if Diouf had rejected a fresh contract offer, Schmadtke said: "It's a fact. And honestly I do not see any serious chance to agree a new deal with the player at any time soon."